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Phil's Carpet Cleaning Services uses ABC to allocate overhead costs and has computed the following predetermined overhead allocation utes: (Click the icon to view the
Phil's Carpet Cleaning Services uses ABC to allocate overhead costs and has computed the following predetermined overhead allocation utes: (Click the icon to view the allocation rates.) hil cleans the carpets for an apartment management firm. When a renter moves out, the apartment management firm contacts Phil to clean e carpets in preparation for a new tenant. During the past month, Phil cleaned the carpets of 26 apartments with 1,300 square feet each. What amount of indirect costs should Phil allocate to the apartment firm for the month? egin by selecting the formula to allocate overhead (OH) costs. Allocated Actual qty of the allocation base used X Predetermined OH allocation rate = overhead costs ompute the amount of indirect costs Phil should allocate to the apartment firm for the month. -ctivity Indirect costs -upplies ravel otal i Data Table Activity Supplies Travel Allocation Base Number of square feet Number of customer sites Allocation Rate $ 0.09 per square foot $ 18.00 per site Print Done ter any number in the
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